Bharat Electronics (BEL) announced a joint venture with France-based Safran Electronics and Defense (SED) for Project HAMMER. The joint venture company will operate a Centre of Excellence.
It will act as a technology partner for the manufacturing, supply, maintenance, and repair of guidance kits used in the HAMMER weapon system. The primary end users of the system will be the Indian Air Force and the Indian Navy. Other Indian defence users may also be added later based on mutual agreement.
JV to start with Rs 1 lakh capital
The joint venture will be incorporated with an initial authorised share capital of Rs 1 lakh comprising 1,000 equity shares of Rs 100 each.
The authorised capital may be increased up to Rs 10 crore or any other amount, depending on future business requirements.
The defence PSU in its regulatory filing said, “Board of Directors of Bharat Electronics at its meeting held on 15th February, 2026 has accorded approval for signing the Joint Venture Agreement (JVA) with Safran Electronics and Defence (SED), France for Project HAMMER.”
The operationalisation of the joint venture is subject to regulatory and administrative approvals from authorities in both India and France.
Equal ownership and board structure
The joint venture will be split equally, with BEL and Safran holding a 50:50 stake each.
The board of directors will have four members, with two nominees from BEL and two from Safran. The chairman will be appointed from among the nominees but will not have a casting vote.
Focus on guidance kits for HAMMER project
The proposed joint venture will focus on the guidance kit of the HAMMER weapon system. BEL and Safran have also agreed to incorporate a private limited company.
The registered office and principal place of business of the new company will be located in Pune or any other location mutually agreed by both partners.
BEL share price
The share price of BEL is trading flat in the intraday trade on Monday. The stock has gained 12.81% in past six months.